Posted on: Sunday, February 20, 2005

AFTER DEADLINE
Hawai'i's smaller businesses deserve bigger coverage

By Anne Harpham
Advertiser Senior Editor

A business that came about because of a problem that needed to be solved. The desire for a more flexible schedule. A longtime dream.

There are almost as many reasons small companies get started as there are companies.

But there are also things that the people behind these businesses have in common. Perseverance. Dedication. And a willingness to take a risk.

And that, says Advertiser business editor David Butts, adds up to lots of good stories.

Standard business reporting has tended over the years to focus on the major players — big companies, large retailers, utilities and financial institutions.

But that's not all that's going on in Hawai'i's economic engine.

Nearly 97 percent of businesses in Hawai'i are considered small — with fewer than 500 employees — according to the U.S. Small Business Administration's Office of Advocacy.

That's a big part of the economy that has tended to be undercovered in the media.

And so, for more than two years, Butts' business section has focused on small businesses on Wednesdays. Initially, that coverage included a profile of a local small-business company. That has now evolved into weekly issue-driven stories that affect local businesses in every industry, from restaurants to retail to high-tech.

Advertiser staff writer Catherine Toth, who writes these stories, will tell you she finds the people behind them amazing.

"They have an idea they believe in, and sometimes against all odds they persevere, overcoming setbacks and waving off criticism to pursue a passion," Toth says. "Sometimes they fail, but for the most part they get back up again, shake it off and keep plugging away.

"They do it because something is driving them — spending more time with their kids, seeing an idea come to life, making money doing something they love — and that sets them apart."

They can be difficult stories to tell.

Big businesses usually have at least one person on staff to deal with media questions. Small-business owners don't have that luxury and are usually time-challenged. For a reporter, that often means they are hard to nail down.

"They're extremely busy, usually running their own stores or manufacturing their own products," says Toth. "They typically don't have marketing departments or public relations people telling them what to say and how to say it. And they're often apprehensive toward media. They don't like to disclose a lot of information — especially financial — for fear that a competitor will learn their trade secrets or know too much."

Still, notes Toth, "I've found them much more personable and honest about what they do and about the challenges they face. Many of them get up early and work very late, sometimes from a small office, sometimes from a couch in the spare bedroom. Their struggles and successes are what make these stories compelling."

We know there are many good stories out there we haven't gotten to yet. Toth gets her ideas from national trends, from decisions made by the Legislature or City Council and from conversations with small-business owners or advocates. If you know of a story that should be told, contact her at ctoth@honoluluadvertiser.com or 535-8103.

Senior editor Anne Harpham is The Advertiser's reader representative. Reach her at aharpham@honoluluadvertiser.com or 525-8033.